The Saskatchewan Trucking Association (STA) is calling on the provincial government to remove a road tax applied to fuel used in truck trailer refrigeration units, arguing the cost is unfair and contributes to rising food prices.
Currently, trucking companies in Saskatchewan are not permitted to use tax-reduced dyed diesel to power refrigeration units on trailers. While other sectors such as agriculture and forestry are allowed to use the lower-tax fuel for equipment that does not touch public highways, the same exemption is not extended to the trucking industry.
George Henderson, director of operations and member services for the STA, said the 12 cent per litre road tax applied to these units is unjustified because the units are not used to drive on public roads.
“This extra road tax on diesel fuel used for refrigeration units on truck trailers is not only unfair because of these refrigeration units never touching the road, but because of how these additional taxes from the government are driving up the price of food in the province,” Henderson said.
The STA says each unit costs an additional $24,000 to fuel annually due to the tax. As these refrigeration units are used to transport both food and critical medications across the province, the association argues that the increased fuel costs are ultimately being passed on to consumers.
“It is crucial that government put the priorities of Saskatchewan people first and commit to stop raising the price of food and critical medications,” Henderson said.
The association is urging the province to allow the immediate use of dyed diesel in refrigerated trailers.
The STA says supporting the trucking industry in this way is one step toward addressing affordability concerns and keeping essential goods accessible for Saskatchewan families.
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